GCB Constructions Crisis Forces Abandonment of Kangaroo Point Luxury Development, Other Projects

GCB Constructions
Photo Credit: Supplied

Builder GCB Constructions has gone under administration, bringing to a halt six significant development projects, including a Kangaroo Point luxury apartment and hospitals in Moreton Bay and the Sunshine Coast.

The company’s decision has left multiple projects in limbo and developers scrambling to find solutions.

The Gold Coast builder with a decades-long legacy was contracted for various ventures across the east coast. Notably, the company was involved in the ambitious Canopy House project by Aria Property Group in a sought-after area in Kangaroo Point. 

In June 2023, Aria submitted a new development application (DA A006305026) for Canopy House’s expansion. The proposal is still under assessment with Council.

GCB Constructions’ financial woes escalated and on 27 July 2023, it went into administration after the suspension of its Queensland builder license due to outstanding debts. The company’s financial struggles had already caused work to slow down or halt altogether on several sites since early May.

Tower Ad

Trent Clark, the sole director of GCB Constructions, had initially expressed determination and confidence in overcoming these challenges. However, the company’s financial woes proved insurmountable, leading to the appointment of administrators from SV Partners. 

David Stimpson, the appointed administrator, revealed that Mr Clark is planning to propose a deed of company arrangement (DOCA) to avoid liquidation. The DOCA aims to transfer ongoing projects to a new builder, secure third-party funds, liquidate company assets, and collect outstanding payments owed to GCB.

A second meeting with creditors is scheduled for 30 Aug 2023.

Also affected are the Si apartment tower in Bilinga, Rayjon’s Vantage View at Benowa and Vantage Burleigh near Varsity Lakes. The fallout also extends to the medical sector, with contracts for the expansion of Ramsay Health’s Sunshine Coast University Private Hospital and Caboolture Private Hospital being terminated, leaving these vital projects without a builder.

Published 10-Aug-2023